The stock market markets increased worldwide after Donald Trump said his prices on China would descend “substantially” and that he had “no intention” to dismiss the president of the American central bank, Jay Powell.
The president told journalists on Washington on Tuesday that he had planned to be “very kind” for China in commercial negotiations and that the prices could lower in both countries if they could conclude an agreement, adding: “This will drop considerably, but it will not be zero.”
The comments sparked a new rally at Wall Street, with the S&P 500 Blue Chip index and the Nasdaq ending the day over 2.5%. During the night in Asia, Nikkei in Japan increased by almost 2%, Hang Seng of Hong Kong increased by 2.4%and the South Korean Kospi gained 1.6%.
The rally spread in Europe at the start of negotiations on Wednesday, with the FTSE 100 index of the United Kingdom up 1.6%, while the Italian FTSE MIB increased by 1.1%. Germany Dax won 2.6% and French CAC 2.1%.
Investors’ confidence also increased after Trump told journalists that he did not dismiss Powell, the president of the American federal reserve, overthrowing the losses of the day before the president called by the president qualifying the boss of the central bank “major loser”.
The president criticized the president of the Fed repeatedly for refusing to reduce interest rates and last week suggested that he thought he could reject Powell before his mandate as head of the central bank ending in May of next year.
Trump wrote on his social media platform, Truth Social, last week that Powell’s termination “could not come quickly enough”, after the president of the Fed raised concerns about the impact of trade rates on the American economy.
However, the suggestion of the White House that the American central bank will remain independent has helped the actions to be increased on Wednesday, as well as the prospect of lower prices for Chinese imports in the United States.
The US dollar, which reached a three -year hollow on Tuesday before recovering, increased by 0.25% against a basket of large currencies.
Oil prices also increased on Wednesday, the crude Brent exceeding $ 68 (£ 51) a barrel in the hope that the lower rates will be less damaging to the global economy. The increase was also carried out by new American sanctions targeting Iranian liquefied petroleum gas and the MANIGNAT OF CRUE SEYEDOOLLA EMAMJOMEH.
Meanwhile, Gold, which is traditionally considered by investors as an asset of refuge during volatile periods, withdrew from the new $ 3,500 summit (£ 2,620) an ounce he struck on Tuesday, to discuss around $ 3,307.
